Move Commercial 48 by Move Publishing

p01-16_Move Commercial 23/11/2015 19:49 Page 1

LIVERPOOL CITY REGION CHESHIRE MANCHESTER

NOVEMBER - JANUARY 2016

FREE

Issue 48

Reinforcing retail Online’s new directions and high street evolution

Prized projects Industry awards success www.movecommercial.com

Cheetham & Mortimer’s Warwick Smither

Playing to strengths MIPIM UK Special

p01-16_Move Commercial 23/11/2015 10:49 Page 2

p01-16_Move Commercial 23/11/2015 10:49 Page 3

MOVE COMMERCIAL

p01-16_Move Commercial 23/11/2015 10:49 Page 4

ACT NOW

All except a handful of the latest TLEWI SJ FVERH RI[ *PI\M 3ȝGIW EX Graeme House are now let or under SȚIV Ũ EGX UYMGOP] XS VIWIVZI ]SYVW XSHE] *VSQ TIVWSR YT[EVHW Call us on 0151 707 2666

p01-16_Move Commercial 23/11/2015 19:30 Page 5

Issue forty eight Move Commercial

Welcome to Move Commercial

Contents News

Offering the convenience of purchases at the touch of a button, and trading without facing the costs of letting retail units, online-only stores have been considered detrimental to the high street for some time. With numerous web-based retailers now realising the potential of also having a presence on the high street though, as explored on page 36, and the high street itself continuously evolving in many ways (p38), is there actually room for all kinds of retailer to benefit and succeed as long as they are willing to move with the times and have an omni-channel approach? Online shopping itself shows no sign of slowing down, with events such as Black Friday continuing to boost demand, and the North West is well positioned to reap the benefits at the logistics end too, as long as it can keep providing the land space and infrastructure big retail businesses are searching for (p42).

06 Industry reacts to devolution deal 07 City attracts unprecedented investor interest, says agent 08 Historic Grade-II listed offices brought to market 09 Independent restaurants boost agent’s commercial activity 10 Allied London acquires landmark fire station

Christine Toner, editor christine@movepublishing.co.uk

11 Hotel projects boost UK and overseas expansion for firm

Features 16 Bitesize Thinking Food for thought 18 Appointments The region’s industry movers

21 My Month John Clegg, Downing’s head of property management, reflects on a busy few weeks 24 Strictly Success Commercial property projects and big names awarded at glittering event 30 MIPIM UK special The North West was under the spotlight at this year’s event 36 Clicks to Bricks Online-only retailers expanding onto the high street

38 Interview Warwick Smither of retail focused agent, Cheetham & Mortimer 42 Prime Location The North West as a hot spot for e-tail distribution facilities

Advertising Director Fiona Barnet. Tel: 0151 709 3871 Advertising Manager Catherine McCarthy. Tel: 0151 709 3871 Editor Christine Toner. Tel: 0151 709 3871 Editorial Team Natasha Young, Lawrence Saunders, Nick Hughes Tel: 0151 709 3871 post@movepublishing.co.uk Design Mark Iddon. Email: mark@movepublishing.co.uk

Published by Move Publishing Ltd Directors David O’Brien, Kim O’Brien, Fiona Barnet. Printed by Precision Colour Printers Ltd Distribution Liaison Manager Barbara Troughton. Tel: 0151 733 5492 Mobile: 077148 14662 Credits: Liam Deveney – Your Move Property Awards 2015 ©iStock - Cover image ©iStock/danielvfung; Clicks & Bricks feature ©iStock/darrya; Prime Location ©iStock/jkitan, ©iStock/vantsov ©iStock/gyn9038

Copyright Move Publishing Limited. All rights reserved. No part of this publication may be reproduced copied or transmitted in any form or by any means or stored in any information storage or retrieval system without the publishers written permission. Although every effort is made to ensure the accuracy and reliability of material published, Move Publishing can accept no responsibility for the veracity of the claims made by advertisers.

45 Event planner The industry’s biggest forthcoming events 47 Ask the Panel What do small business representatives think of online giants like Amazon and Google looking to go full circle with a high street presence?

p01-16_Move Commercial 23/11/2015 18:06 Page 6

News Latest

Peel Ports’ campaign attracts 50 backers Peel Ports has announced that 50 supporters have been secured for its Cargo200 initiative, which aims to reduce UK freight mileage by 200 million miles over the next five years. First launched back in May, Peel Ports asked all importers and exporters whose goods start or finish their journey in the North of the UK, to switch to the Port of Liverpool – a move that could save shippers as much as £400 per container in transportation costs as well as significantly lowering carbon emissions. Among the first 50 firms to back Cargo200 are Jaguar Land Rover, Matalan, Typhoo, JCB, Diageo and B&M. Patrick Walters, Peel Ports’ group commercial director, says: “With 50% of demand for all UK cargo coming from the northern half of the UK, including Scotland and Ireland - the Port of Liverpool is strategically important as the most centrally located port in the UK. “Efficiency and sustainability lie at the heart of the Cargo200 initiative and with the opening of Liverpool2, cargo owners and logistics operators can benefit from a viable, cost effective alternative to southern ports.” Explaining the decision behind the support, Gareth Williams, distribution manager at Jaguar Land Rover, says: “The growth of our business on a global level brings challenges as well as opportunities. With plants in the West Midlands and in Liverpool, we join the call to shipping lines and logistics service providers to make better use of the infrastructure in the North of England to shorten supply chains, reduce carbon, and improve transport economics.” Mark Taylor, imports operations manager at Matalan, adds: “The benefits we could realise by shipping our 10,000 boxes through Liverpool are not just sourced from the transport cost savings associated with lower mileage, but from the benefits we will see in our entire supply chain.”

MOVE COMMERCIAL

Liverpool devolution deal ‘big step forward’ for city region Leading North West industry figures have reacted positively after the Liverpool City Region became the next to sign up to Chancellor George Osborne’s devolution revolution. The agreement is regarded as a huge boost to the Northern Powerhouse and will see the Liverpool City Region receive a raft of new powers including control over investment worth £30 million a year for the next 30 years. Professional Liverpool chairman, Jim Gill, says the deal is a “big step forward” for the Liverpool City Region and further describes it as a “strong vision” for the area, but points out that there is “much work to be done to refine the detail of the settlement ahead of the election of a metro mayor in 2017.” David Lathwood, lead director for JLL in the North West, adds: “Given some of the strong assets and new schemes on the horizon, including Peel’s

David Lathwood

£5.5 billion Liverpool Waters development, alignment between the six authorities is clearly the way for the region to maximise on its potential and capitalise as one unified conurbation.” In total, £900 million will be made available to help access the economic potential of the River Mersey and the new Superport, as well as making the most of the opportunities from HS2. Robert Hough, chair of the Liverpool City Region Local Enterprise Partnership, praises the role of the private sector and its “support for devolution,” adding: “We very much look forward to its successful implementation.”

‘Signiﬁcant infrastructure investment’ completed

The Mayor of Knowsley, Cllr Edna Finneran, cuts the ribbon to officially open the new Greystone Road footbridge in Huyton.

A newly opened Knowsley bridge is said to represent a “significant investment into the borough’s infrastructure”. The Greystone footbridge in Huyton replaces an old structure which was known locally as the ‘sausage bridge’. The Mayor of Knowsley, Councillor Edna Finneran, and pupils from the area’s Malvern School officially opened the modern cable-stayed bridge to the public and, as it links communities either side of the M62, it’s expected to be used by more than 400 people each day.

Cllr Mike Murphy, Knowsley’s cabinet member for regeneration and economic development says: “I am delighted that the new footbridge is now open. This project is a significant investment into the borough’s infrastructure and the new bridge truly is an impressive, eye catching structure. “I’d like to thank everyone who has worked on this project and also thank local residents and motorists for their understanding and patience while the work was carried out.”

p01-16_Move Commercial 23/11/2015 17:26 Page 7

Latest News

Construction underway at new North West Innovation Centre Construction work has begun on a new Advanced Manufacturing Centre at the Unilever hub in Port Sunlight. Senior company and construction representatives were present for a groundbreaking ceremony to mark the occasion at the firm’s research and development (R&D) facility, which is the result of the latest in a string of investments at the manufacturer’s historic home totalling £200 million. Due for completion in 2017, the centre will feature a state-of-the-art pilot plant allowing scientists and engineers to test out new ideas during personal care and home care product development on a factory scale. Cameron Jones, Unilever Port Sunlight site leader, says: “In building the centre we are renewing our commitment to R&D in the UK and the North West. From here we will have the capacity to innovate products with increased speed and efficiency, which we will turn into winning products to be enjoyed by tens of millions both here and around the world. “The centre will complement existing and new facilities such as the Materials Innovation Factory currently under construction at the University of Liverpool, due to open in early 2017, where new materials will be explored by our scientists that could then be further developed here at the Unilever Advanced Manufacturing Centre.” Work is underway on Unilever’s Advanced Manufacturing Centre

No.1 Lakeside

No.1 Lakeside now fully let South Manchester’s No.1 Lakeside is now fully let after software technology firm, Jontek agreed a 10-year lease for the site’s remaining space. The company is relocating from Bredbury to a 3,980 sq ft ground floor space at the site in Cheadle Royal Business Park. Jontek joins existing occupiers including Carrier Travel, Motoring Services Limited, Norwell Computer Services and Harrison Bryce Soliticitors. John Mooney, managing director of Jontek, says: “When the decision came to move we wanted to ensure the new office would be well received by our employees. Cheadle Royal’s location, just off the M60, and the extensive amenities, means it is a highly sought after location for any South Manchester business of our size.” Williams Commercial and Canning O’Neill acted as joint agents for the 34,000 sq ft property on behalf of Cramer Properties. Following the latest deal, Charlie Williams at Williams Commercial says: “No. 1 Lakeside’s location and build quality has always meant it has attracted tenants of a high calibre and we are delighted to welcome Jontek to the building, bringing it to full occupation.” Jontek was unrepresented in the deal.

Unprecedented investor interest in Liverpool, says agent A number of prominent Liverpool office buildings are said to be attracting “very high levels” of investor interest from across the UK and overseas. According to commercial agent Worthington Owen, which is currently marketing the landmark India Buildings on Water Street, No.1 Tithebarn in the city’s central business district, Federation House on Hope Street and No.1 Arthouse Square within the Ropewalks district, Liverpool’s offering is proving to be competitive amongst other UK cities. Mark Worthington from the firm says: “The buildings are attracting very high levels of interest from investors/developers based across the UK and, in the case of the India Buildings, from overseas.

“The interest is being driven by investors searching for value and Liverpool now looks very competitive by comparison to other major UK cities and particularly by comparison to Manchester. “In addition, the fundamentals of the city's economy are strong and the outlook for the future of the city is optimistic particularly on the back of the announcement that Liverpool will benefit from greater devolution and a 'metro mayor'.” Worthington, who adds that the agency has “never seen as much investor interest in the city and so many buildings changing hands” across the firm’s 20 years of experience in Liverpool, is now hoping each of the four assets will trade this year or during early 2016.

India Buildings

MOVE COMMERCIAL

p01-16_Move Commercial 23/11/2015 17:26 Page 8

News Sales & Lettings

New tenants sign up to Graeme House’s Flexi-Oﬃce space

Graeme House

Five Flexi-Office suites at Downing’s newly refurbished Graeme House have been successfully let. The Law Academy Ltd has taken four of the ground floor spaces on a five-year lease with no breaks, while Britannia International Supplies Ltd has signed up to the fifth for two years. The new tenants join current occupants at the upgraded city centre building including recruitment specialists Reed and Blue Arrow and national training provider for apprenticeships, Aspire Achieve Advance Ltd. Work Solutions, Ingeus and Remploy are also based at the building. The latest signings mean the mezzanine floor of the site is now fully let. John Clegg from Downing says: “We’re delighted to welcome Britannia International Supplies Ltd,

the Law Academy Ltd to Graeme House. The Flexi-Office model is a good one and remains very popular with businesses of all sizes.” Robin Ellis of Robin Ellis Property, which acted for the landlord, adds: “Downing has done a great job with Graeme House and it’s no surprise that the building is performing as well as it is, with more deals in the pipeline. This demonstrates a continued demand for the Flexi-Office offering which ticks all the boxes for all sorts of businesses.” Graeme House, which comprises 90,000 sq ft and is located on Derby Square between Liverpool ONE, Queen Elizabeth Law Courts and Castle Street, is currently being marketed for sale by CBRE following a comprehensive refurbishment at the site.

Historic Liverpool office space brought to market Office space in an historic Grade-II listed Liverpool city centre building has been brought to the market. Melbourne Buildings on North John Street partly dates back to 1854, has undergone cosmetic refurbishment to restore its original features whilst offering 2,716 sq ft of modern office space across its three upper floors. The ground floor of the building, which is being marketed by Hitchcock Wright & Partners on behalf of Derwent Lodge Estates, is occupied by an eatery. Built by Sir James A. Picton, an architect who was also behind the city’s Hargreaves Building on Chapel Street and the Queen Insurance Buildings on Dale Street, the building saw the addition of a rooftop extension in 1975 and its distinct blue exterior was repainted in recent years. The property now has showers and toilets on each floor as well as bike storage, communal areas and a lift. Sean Collins-Jones at Hitchcock Wright & Partners, says: “The Melbourne Buildings is a unique property in Liverpool with an interesting history going back 160 years. “Close to both the retail and commercial districts, we are confident this property will appeal to many occupiers looking for unique office space in Liverpool’s city centre.”

Charity becomes latest occupant at Bruntwood’s St Hugh’s A 1,600 sq ft space at St Hugh’s in Bootle has become the new Merseyside base for the Royal Mencap Society’s personal support registered office. Susan Kernachan The learning disabilities charity has moved into the fourth floor of the Bruntwood-owned site on Stanley Road, which was previously home to the Health & Safety Executive. The property, which has undergone a large-scale redevelopment, is said to have attracted an increase in occupancy over the past two years with businesses from sectors including law, education and security signing up for space. Susan Kernachan, Mencap’s head of property, says: "We were keen to secure a new office that would not only give us a contemporary, attractive environment for our team to work in, but that would also place us at the heart of the communities we serve.” Matt Lee, head of sales at Bruntwood, adds: "Mencap is one of the UK's most respected and established charities and is the voice of people with learning disabilities across Merseyside every day. We are thrilled to welcome them to St Hugh's and we look forward to supporting the growth of their incredible work." 8

MOVE COMMERCIAL

Melbourne Buildings

p01-16_Move Commercial 23/11/2015 17:26 Page 9

Sales & Lettings News

Independent restaurants boost agent’s commercial activity

Miyagi on Bold Street

An influx of new independent restaurants in Liverpool city centre over the past 12 months is said to have boosted Sutton Kersh’s commercial activity. The agent has let a number of premises to recently launched eateries including Miyagi on Bold Street, Blind Tiger on Seel Street and Neon Jamon and Rack & Dollar on Berry Street, with further deals expected to be completed before Christmas. Jonathan Owen, commercial director at Sutton Kersh, suggests changing eating habits have prompted demand for more multi-cuisine restaurants and are also helping the sector to thrive every day of the week as opposed to just weekends. He adds: “This year our department has seen a considerable rise of requests from independent restaurants looking for premises

within the city centre. “I think a large attraction for restaurant owners is the reasonable and attractive rates that are available on commercial properties within hot spots throughout the city and also the large and steady footfall throughout the retail and tourist areas.” An increase in retail, leisure and central residential offerings is also said to have naturally grown the demand for restaurants to meet consumers’ needs. With Liverpool districts including the Baltic Triangle and Ropewalks particularly seeing more activity, Owen says: “Our city has many beautiful buildings to offer and many of the restaurants recently popping up are choosing to keep the industrial/distressed more rustic look, which has been a popular trend in key cities across the world.”

‘Healthy demand’ leaves ﬁnal units remaining at business park Just two units remain available at Meridian Business Village in Hunts Cross, following a busy period of lettings. The Prospect GB site is said to have attracted “healthy demand” so far for its office space in the heart of the newly developed mix-use area. With the workspaces at the site offering flexibility, available in various combinations to suit business’ requirements, Chris Walker, head of Prospect GB’s commercial division, says: “We have completed several new lettings deals in the past few weeks and enquiries have been received from all types of companies, including various start-ups and successful SMEs seeking a larger base to accommodate their expansion.” Keppie Massie and Hitchcock Wright & Partners are working as joint agents to market available units at the site, which is close to motorways and bus and rail connections to Liverpool city centre as well as retail amenities. For further information visit www.prospectgb.com

Meridian Business Village

MOVE COMMERCIAL

p01-16_Move Commercial 23/11/2015 17:26 Page 10

News Development

Project round-up Go-ahead for next NOMA phase NOMA has received planning permission to develop two new office buildings, marking the next phase of the major regeneration project. More than 350,000 sq ft will be created at 2 and 3 Angel Square, which have been designed by AHR Architects and are being jointly developed by The Co-operative Group and Hermes Investment Management. Dominic Manfredi, director of the Manchester office at AHR Architects, says: “This is a once in a generation project to revitalise a major part of a city centre.”

New Parklands development underway Work is underway on the latest office development at the Parklands business park in Middlebrook. Orbit Developments has commenced construction on the Parklands 5B building, after online electrical retailer moved into Parklands 5A. The new five-floor space will bring a further 48,5000 sq ft with car parking to the commercial property scheme, which is located opposite Bolton Wonderers’ Macron Stadium and incorporates offices, industrial and retail space.

Mixed-use plans feature ‘entrepreneurs’ hub’ An ‘entrepreneurs’ hub’ could form part of a new £50 million development in Liverpool’s Baltic Triangle. Developer Elliot Group submitted plans to Liverpool City Council for the part 20-storey and part 12-storey project bordering Norfolk Street and the city’s Dock Road. The proposed mix-use scheme, designed by Falconer Chester Hall, also features apartments. Elliot Lawless of Elliot Group says: “Norfolk House will have a unique base for start-ups and for other companies in the area to use, with a regular programme of business masterclasses from successful entrepreneurs and ‘how to’ sessions from experts in everything from finance to sales, marketing to human resources.” If approved, work is expected to start in summer 2016.

10 MOVE COMMERCIAL

Allied London acquires historic site for Manchester Firehouse project Manchester’s London Road Fire Station

Allied London has purchased Manchester’s London Road Fire Station from Britannia Hotels. The developer received backing from campaigners in the months leading up to the acquisition of the historic fire, police and ambulance station and coroner’s court, which opened in 1906, amid concerns for the future of the Grade II-listed building. Following the completion of the deal, Sir Richard Leese, leader of Manchester City Council, says: “The acquisition of London Road Fire Station is very welcome news. It’s a magnificent landmark building which had become a blight on the regeneration of the Piccadilly area during its long years of disuse. “The council has consistently championed efforts to bring this important building back to life, and we look forward to working with Allied London – which has a strong track record of successful delivery in Manchester –

Next phase of refurbishment for Widnes industrial site Towngate Plc is preparing to begin a new refurbishment phase of Widnes’ Towngate Business Centre. The firm purchased the former Golden Wonder factory in 2000, and has been carrying out significant improvements on the site over the last 15 years having transformed it into modern industrial units with yard and parking areas. The latest works will see the exterior areas of the estate transformed. According to Towngate the refurbishments of the site, which is located close to motorway links for Liverpool, Warrington and the wider UK, are well timed for the Mersey Gateway Project, with construction work on the bridge scheduled for completion in 2017.

to help bring forward early development proposals.” Mike Ingall, chief executive of Allied London which is also behind Spinningfields and the St John’s project at the city’s former Granada Television Studios, says: “We have been grateful for the huge amount of public and media support that we have received throughout the sale process and are buoyed by the scale of interest already being shown in the property, which we are calling Manchester Firehouse. “It is very rare that we would wish to go beyond our focus of Spinningfields and St John’s, but I believe this building presents a unique opportunity to create something truly iconic, particularly at a time when there is so much focus on Manchester as it enhances its international credentials.” Christie + Co. acted for Britannia in the sale to Allied London.

Towngate Business Centre

A spokesperson for the company says: “The Bridge will act as an additional link for Runcorn and Widnes, creating increased accessibility to this strategic commercial location and generating superb commercial opportunities and a real boost to the economy within the whole region and beyond.” Two units remain available to let at the 18-acre site, which features a total of 275,000 sq ft of industrial and warehouse accommodation. For further information call Julia M. Ford on 01484 715635.

p01-16_Move Commercial 23/11/2015 17:26 Page 11

Commercial News

Hotel sector demand boosts practice’s UK and overseas growth

Park Regis Hotel reception

Demand from the hotel sector is helping to boost Liverpool city centre’s Edge Architects’ portfolio of commercial projects. Architects and interior designers at the Union Court-based practice have been further developing client relationships across the UK and

Julie Mogan

overseas, having already completed an interior-led project at the new Park Regis Hotel in Birmingham and the refurbishment of the IBIS Styles Hotel in London Southwark Rose for client, Accor. Meanwhile, members of the team are also preparing to travel to South

Africa in December to explore a number of international opportunities in Cape Town and Sandton, including a hotel and golf resort scheme. Angela Rawson, head of interiors at Edge Architects, believes the practice’s approach of combining ideas from

both the client and the designer to achieve successful projects has helped the firm’s growth in the sector, and says: “We encourage an open dialogue with our clients, as good design should be relevant, enriching and provide added value.”

Excello Law celebrates growing North West presence International commercial law firm, Excello Law is getting set to celebrate its continued growth in the North West. Having launched an office at Liverpool’s One Derby Square earlier this year, along with the formation of a team of lawyers with previous experience at firms including Hill Dickinson, Weightmans and Brabners, the company is planning to mark its growth in the area in the new year. Dawn Joughin, who provides private client support, and Julie Mogan, who takes on the role of regional director, are the latest hires at the Liverpool office, which houses a corporate and

commercial property team. George Bisnought, founder and managing director of Excello Law, says: “The appointment of Julie to this pivotal role shows our determination to grow our brand nationally, to attract even more high calibre lawyers and to provide legal services in the manner that suits our entrepreneurial clients. “Liverpool is such a welcoming and vibrant city and we are very happy to be playing a part in promoting growth in the region.” Mogan adds: “I’m very excited about working with the board and colleagues to build Excello’s presence across the North.”

MOVE COMMERCIAL 11

p01-16_Move Commercial 23/11/2015 10:49 Page 12

Commercial

Industrial

Domestic

The company of choice for businesses across the UK. Our clients include property management firms, housing associations, retail stores, and financial institutions.

Experienced with full scale industrial glazing projects. Please contact our dedicated Glazing Contracts Manager who will be happy to discuss your requirements.

We install PVCu windows, doors and conservatories, in addition to aluminium windows and doors; all offered with a same day service and a 10 year Fensa guarantee.

Now manufacturing commercial aluminium windows/doors and shop fronts

Our services include... • Fabricated Installations

• PVCu Windows & Doors

• Commercial / Industrial Glazing

• Glazing Supplies

• Historic & Conservation Projects

• Glass Merchants

• Double Glazed Unit Manufacturers

• Mirrors

• Replacement Double Glazed Units

• Bevelled & Sandblasted Glass

• Leaded Lights Restoration

• Pyro Glass & Coloured Glass

• New Commissions

• All types of Safety Glass

Your Commercial and Domestic Glazing Specialists 47-51 Bankhall Street, Bootle L20 8JD

Visit our new website for more information www.bootleglass.co.uk

www.bootleglass.co.uk info@bootleglass.co.uk (0151) 922 2026 / 933 5224 07738 527 459

p01-16_Move Commercial 23/11/2015 10:50 Page 13

p01-16_Move Commercial 23/11/2015 10:50 Page 14

EXPERT LEGAL SOLUTIONS FOR THE PROPERTY MANAGEMENT SECTOR OUR SERVICES • • • • • • • • • • •

Service Charge Arrears Recoveries Ground Rent Arrears Recoveries Complex and Defended Claims Forfeiture First-Tier Tribunal (Property Chamber) Appeals to the Upper Tribunal Right to Manage Lease Extensions and Variations Enfranchisement Breach of Covenant PRS

W : JBLEITCH.CO.UK T : 0151 708 2250

p01-16_Move Commercial 23/11/2015 10:50 Page 15

On the instructions of A.G. Salata & A.M. Jorden Fixed charge receivers

ONE ARTHOUSE SQUARE

LIVERPOOL L1 4AZ FREEHOLD OFFICES FOR SALE

27,575 sqft (2,562 sqm) at the heart of the cityâ&#x20AC;&#x2122;s vibrant Ropewalks Quarter. Suitable for alternative uses subject to planning.

Andrew Owen

Anthony Salata

p01-16_Move Commercial 23/11/2015 10:51 Page 16

Bitesize thinking

Michael Jones asset manager, Centurion Properties

In my crystal ball... The property markets of Manchester and the North West will continue to prosper with the weight of money from institutional and international investors, but the focus will be on the prime locations. Long-term low interest rates and the return of debt funding to the more local, private investor market will help the secondary market, but stock selection is key, as the economy is not as strong across the board as we are led to believe. There is a concern that the lessons learnt from the credit crunch in 2007 are being quickly forgotten, because the pressure on banks to lend is growing. The North West markets are being further stimulated by large buyers of commercial property loan portfolios, such as Lone Star, Blackstone and Cerberus, selling out of smaller assets where they can take a profit. Institutional investment is starting to expand beyond the prime Manchester city centre into locations such as Liverpool and South Manchester. My greatest wish is for the recent success at Old Trafford and Etihad to head back down the East Lancs Road to Anfield and for the joint German/US investment to show strong returns over the next 25 years.

If only I’d known… When the IRA bombed the centre of Manchester in 1996, I wish I could have foreseen the amazing transformation of the city that would follow. The bomb, ironically, was the catalyst for 20 years of city centre redevelopment and led to the local government partnering with the business community to get things done for the good of the city. This began with the redevelopment of the retail core of the city through the part redevelopment of the Arndale Centre. There followed a number of significant regeneration projects, such as the Manchester Arena, the Printworks, Spinningfields and Co-op’s NOMA. The centre of Manchester became a fashionable place to live, driven by developments in Castlefields and the Northern Quarter. Growth has spread from the city centre into Greater Manchester, notably Salford Quays and MediaCity. The city’s infrastructure has been transformed, the Northern Powerhouse is working to great effect and Manchester has gone from being a provincial UK city to being a top 20 European city over the last decade.

My favourite building with... George Morris chairman, Morris & Spottiswood

Gentleman’s toilets, Rothesay, Isle of Bute Not many people would see beauty in a public toilet block, but the gentleman’s toilets in Rothesay, Isle of Bute really have to be seen to be believed. Described by architectural historian Lucinda Lambton as the ‘jewels in the sanitarian’s crown’, they are one of the finest examples of late Victorian lavatories left in the UK. I love this building because it has a most underwhelming exterior, there is no clue as to the wonders within, and it’s highly practical – what’s more necessary than a public toilet? It’s also a true monument to Victorian confidence and has lasted simply because of the quality of the component parts. Built in 1899, close to the ferry terminal, the 16 MOVE COMMERCIAL

interior walls of the WC are entirely clad in decorative ceramic tiles, ornately patterned in rows, while the floor is designed with ceramic mosaic. Fourteen fantastic porcelain urinals – made from Fireclay pottery - can be found along two walls, with another six in a circular centrepiece. The original glass-sided cisterns feed the water supply through shiny copper pipes. We tend to celebrate museums or homes but great work can also be extended to the most humble buildings. The toilets and the attendants have won many ‘loo of the year’ awards and visitors over the years include HRH Prince Charles, who holds the title Duke of Rothesay.

p17-32_Move Commercial 23/11/2015 10:52 Page 17

MOVE COMMERCIAL

Bitesize thinking

UNDER CONSTRUCTION

Mike Banton managing director, Artez

Curriculum VITAE Main duties: Managing, directing and growing the Artez group of companies; winning new work and ensuring we consistently deliver great quality projects to the highest possible standards. Education: Turton High School, Bolton; Bolton College then a part time QS degree at Salford whilst working as an assistant QS. First job: My first part-time job was washing up in a restaurant, and full-time it was as a trainee quantity surveyor at Bardsleys. Shortest job: Quantity surveyor at Connaught – working on large social housing projects didn’t get me excited. What’s the secret to your success? A supportive and loving wife, taking risks, the fear of failure, hard work, fantastic relationships and confidence in my own ability. What piece of advice would you give to someone starting out in the industry? You need lots of friends in the industry, take risks but always have a Plan B, and also share your business plan with someone close. This could be your partner, a friend or someone not

connected to your industry. Making decisions all on your own is lonely and risky – you will make more mistakes. What makes Artez different? We know construction is a highly competitive industry. Our approach is to be honest, consistent and try to go the extra mile for our clients. We are immensely proud of our brand, appearance and every single project we do, no matter how big or small. Across the business we are very experienced in all sectors and have worked on some of the UK’s most challenging projects. Therefore the more complicated, the better. We like a challenge. Tell us about the company’s plans for the next 12 months: In May, we doubled the size of our previous office to accommodate our balanced business expansion. Artez Group is now an experienced construction business turning over around £6m in this financial year. Earlier this year, we launched Artez Living Ltd and also Artez Interiors Ltd which focuses on office fit out and leisure work. As a group of companies, we’ve already secured an order book worth £5m for 2016 and we’re forecasting a turnover of between £8m and £10m.

Tweet all about it

Royal Liverpool Hospital The new Royal Liverpool Hospital is finally taking shape and is due for completion in 2017. It has been a long and debated project since 2007 and is set to create the long-awaited replacement of the 1978 structure. Now on schedule, the facility will be one of the most advanced medical facilities in Europe.

JUL

Original masterplan for the new hospital is revealed to replace the 1978-built facility.

JUL

Plans are revealed and accepted with 646 beds in 23 wards including a 40-bed intensive therapy unit and 18 state-of-the-art operating theatres.

JUN

New coalition government backs the plans, dropping ideas to scrap the proposal.

MAY

Carillion is announced as preferred bidder for the new £335 million hospital.

DEC

Carillion achieves financial close on the project as it is given the green light in September for construction work to start, creating 750 jobs and 100 apprenticeships.

FEB

The first hoardings are erected for construction with a job shop running for anyone seeking employment on the scheme.

SEP

Half-way mark reached as façade is added to the project with wards being fitted-out.

NOV

Prototype models of single-patient rooms are revealed, and the Chrysalis Fund announces an £11.5m investment into a new £25m life science hub which will co-locate the hospital trust as it’s built on the site of the existing hospital.

2007

2008

2010

2013

The 5 best commercial tweets

1 2 3 4 5

@ifb2016: The impact of IFB2014 sends a clear message about tangible benefits expected from #IFB2016 @GlentarnC: @CWBizHub great launch event. Many #peoplewhoknowhowtogether to provide support to make businesses grow across Warrington & Cheshire @MIDAS_MCR: Sir Richard Leese: ‘Infrastructure is at the heart of our history. It is this investment infrastructure which spurs our revival’ @George_Osborne: At @UoMGraphene in Manchester with President Xi Jinping to see great British discovery becoming British innovation @a_gateway: Infrastructure is key to growth and prosperity - Infrastructure Commission has a big role to play in addressing the UK's productivity gap

2014

2015

SUMMER

2017

Royal Liverpool Hospital is due to be completed with the old building demolished and construction beginning on Liverpool BioCampus. The Life Sciences Accelerator is expected to open in June.

p17-32_Move Commercial 23/11/2015 10:52 Page 18

Appointments

New additions boost WYG in the North West

WYG’s new North West recruits

Global project management and technical consultancy, WYG has strengthened its North West teams. Featuring across six new appointments at the firm’s Manchester and Cumbria bases are Helen Mansley and Heather Lindley-Clapp, who have joined Manchester as a senior planner and an associate respectively. Meanwhile, WYG has welcomed associate director Kate Paterson to the city office, where she will lead the regional architectural team, and Rachel Kerr brings her placemaking expertise to the urban designer role. The company has also promoted retail planning expert Richard Shepherd, and Tony Fox, who will lead the North West civil engineering and infrastructure team, to director positions. Paul Shuker, Manchester planning office head, says: “There is continued confidence linked in part to the buzz around the Northern Powerhouse mandate but also because of increased emphasis on infrastructure for the Energy Coast, which is increasing opportunities for WYG and its partners in the medium to long-term.”

Manchester associate for Hourigan Connolly Chartered town planning firm, Hourigan Tom Jeremiah Connolly has welcomed new associate Tom Jeremiah to its headquarters in Manchester’s Northern Quarter. Having worked in planning and development consultancies and local authorities across England and Wales, Jeremiah brings a broad range of experience across all sectors and levels to the team. He says: “Having watched Hourigan Connolly grow since it was established in 2009, I am delighted to have joined the team and I look forward to contributing to its continued success.” 18 MOVE COMMERCIAL

Senior appointment for Powell Williams Building consultancy Powell Williams, which was founded in Chester, has recruited a new Sue Fendt business development and marketing manager to work across its four nationwide offices. Sue Fendt brings more than 15 years’ experience in international marketing and business development to the firm, and will work alongside senior partner Andrew Marshall to head up the company’s drive for new business. Following her appointment, which is the latest in a string of new hires for the expanding consultancy, Fendt says: “I welcome the opportunity to support the firm’s continued growth in an expanding and dynamic marketplace, and am looking forward to helping the firm build even further on its existing excellent reputation.” Marshall adds: “We selected Sue because of her proven experience within the professional services industry and her unrivalled enthusiasm for the role, and were delighted she agreed to come and help us on this journey.”

Growing Kingsley expands property team Liverpool-based property, engineering and legal recruitment consultancy, Kingsley, has appointed a new Jenny Shaw senior consultant as it continues to expand. Jenny Shaw, who has previously worked for Bromak, Ionic and Hays, has joined the property team to support the firm’s continued growth to its white collar construction clients. Within the role she’ll be working across all mid/senior contractor roles and appointments throughout the UK. Caroline Kingsley, director of Kingsley, says: "We are delighted to welcome Jenny into Kingsley. Her appointment and valued experience immediately strengthens the expert advice and service we provide to our valued construction clients and candidates, throughout the industry.”

p17-32_Move Commercial 23/11/2015 10:52 Page 19

You seek, we find.

N E W

Y E A R ,

N E W

H O R I Z O N S

IN 20 16 YOUR BUSINESS GOAL S WILL BE DEFINED BY YOUR PEOPLE WE’RE

HERE

MAKE

THOSE

PEOPLE

COUNT

p17-32_Move Commercial 23/11/2015 10:52 Page 20

We Build Brands A leading integrated communications agency delivering branding, design and public relations.

0151 709 1633 www.thefoundryagency.co.uk @Foundry _ Agency

p17-32_Move Commercial 23/11/2015 10:52 Page 21

My Month John Clegg, head of property management, Downing As head of property at developer and management firm Downing, John Clegg has focused much of his past month on marketing a trio of the commercial buildings that are up for sale. With the sites including one of Liverpool’s iconic ‘Three Graces’, The Port of Liverpool Building, he talks us through its viewings and interest as well as progress in other Downing projects and forthcoming plans

My goal at the start of the month was...

It’s been a busy month at Downing - three of our commercial buildings across the city are on the market, including The Port of Liverpool Building, Graeme House and Federation House, so I’ve been working with our agents to ensure that viewings and the sales process go as smoothly as possible. One building in particular, The Port of Liverpool Building, has attracted a huge amount of market interest, so my goal for this month has been to successfully manage the sales process, while ensuring that the remainder of Downing’s managed portfolio continues to run as smoothly and professionally as tenants have come to expect.

My biggest achievement was... Fully leasing all the newly-refurbished Flexi-Office suites on the mezzanine floor at Graeme House was a real high point this month! We have now successfully let 90% of space across the building, which is great, and we’re also seeing a lot of interest in the suites we have just made available on the ground floor.

My biggest challenge was... Squeezing more than 30 viewings into the diary! Viewings at The Port of Liverpool Building sometimes feel like a tour of a national heritage property as well as an outstanding commercial asset – some of these visits can take between two to three hours, so I’ve become a pretty adept diary juggler.

THE NEWS STORY THAT CAUGHT MY EYE... Sep Blatter was recently suspended from his presidential role by FIFA

In this case - the news stories that have caught my eye this month are the never-ending chronicle of woe regarding Mr Blatter and his cronies at FIFA. Can it get any more unbelievable?! And then, just when you thought it couldn’t get any worse, along comes Lamine Diack and ‘Tales of IAAF’…

The key meeting I had... Was a bid review meeting for The Port of Liverpool Building. It has been very encouraging to see such strong interest in one of Liverpool’s finest property assets, this has been a very tangible example of Liverpool’s resurgent property market.

My plan for next month... We’ve got great plans ahead for No.1 Old Hall Street over the coming months, so that will be a key area of focus in the run up to the end of the year. I will also be focusing on the asset management of the retained Liverpool estate. MOVE COMMERCIAL 21

p17-32_Move Commercial 23/11/2015 10:53 Page 22

22 MOVE COMMERCIAL

p17-32_Move Commercial 23/11/2015 10:53 Page 23

p17-32_Move Commercial 23/11/2015 10:53 Page 24

Strictly success With the end of 2015 approaching, the Your Move Property Awards returned to celebrate the region’s biggest deals, projects and success stories of the past 12 months. Prominent names from the across the property sector once again came together at this year’s spectacular ‘Strictly’ themed event, for a night of networking, entertainment and awards recognition. From office developments and widely impacting mixed-use schemes, to high profile letting deals and top agents, we bring you all commercial winners, reactions and pictures from the big night.

p17-32_Move Commercial 23/11/2015 10:53 Page 25

Your Move Property Awards 2015 Event Special

Big names and bright stars from the region’s commercial sector attended Liverpool’s Lutyens Crypt, alongside representatives of the residential property industry. Now in its 12th year, the glittering black tie event saw guests enjoy an evening of ballroom dancing entertainment in keeping with 2015’s ‘Strictly’ theme, a lavish meal and the all-important awards presentation hosted by Pete Pinnington. Winners of prestigious titles including ‘Best Commercial Scheme’, ‘Best Office, Retail or Leisure Let’ and the ‘Regeneration Award’ were this year picked by an esteemed panel of expert judges including Alastair Shepherd, director of Falconer Chester Hall; Eric Wright, founding partner of Hitchcock Wright & Partners and Lesley Martin-Wright, chief executive of Knowsley Chamber.

COMMERCIAL AGENT SPONSORED BY MOVE COMMERCIAL HITCHCOCK WRIGHT & PARTNERS Mason Owen, Hitchcock Wright & Partners, CBRE and Keppie Massie all made the shortlist for the Commercial Agent accolade this year, but there could only be one winner. Finalists were judged through a mystery shopping process to put their services to the test. Hitchcock Wright & Partners took the title, with Mason Owen named as the runner-up. Receiving the award on the night, Matt Kerrigan, partner at Hitchcock Wright & Partners, said: “We’re delighted. It’s a fantastic achievement for everyone at Hitchcock Wright so we’re all very proud. Thank you to all our clients who have supported us over the last 12 months.”

BEST COMMERCIAL SCHEME

BEST OFFICE, RETAIL OR LEISURE LET

REGENERATION AWARD

SPONSORED BY MACBRYDE HOMES

THE BUNKER BUILDING CAPITAL & CENTRIC

CAU & TUNE HOTEL BRUNTWOOD

The Bunker Building by Capital & Centric picked up the prize in this category after featuring in a varied shortlist alongside Next Big Thing’s Baltic Triangle offices and runner-up Downing’s Graeme House project. Collecting the prize on behalf of the winning firm, Emma Dawson of ShedKM architects, which worked on the Bunker Building, thanked Capital & Centric for “making the process so easy.” Celebrating the victory Tim Heatley, founder of Capital & Centric, said he hoped the prestigious accolade would be the “first of many” for the scheme, adding: “It’s awesome to get a big pat on the back from our industry peers. The Bunker is fun, bold and now it’s award winning too! “When Bunker was conceived in the depths of recession we were told it would never happen. This award demonstrates that sometimes imagination is more important than knowledge.”

For this category, judges considered what the commercial value schemes have brought as well as their significance and impact. Bruntwood’s work in bringing restaurant CAU and Tune Hotel to Liverpool took the title, in a category which also saw the firm named runner-up for its Morecrofts signing at Liverpool’s Cotton Yard. Promenade Estates’ signing of burger brand Five Guys to Queen Square was also in the running. Matt Lee, head of sales; Emma Berry, senior asset manager; and marketing executive Sally Acton received the award on behalf of Bruntwood, and Lee said: “From a concept to the finished project it was probably two years in the making and there was a lot of hard work across the team, so it’s fantastic.” Berry added: “We’re really delighted CAU was able to see the vision of what we could see and would create, and it’s part of the city we think is going to develop massively as a result.”

MARINE POINT - PROMENADE ESTATES NORRIS GREEN VILLAGE - COUNTRYSIDE & REGENERATION LIVERPOOL Promenade Estates’ mixed-use Marine Point scheme in New Brighton was one of two projects to win this year’s Regeneration Award at the Your Move Property Awards. Taking the title alongside Regeneration Liverpool and Countryside’s large-scale Norris Green Village residential development, the multimillion pound project was hailed as a brave commitment which has, in turn, made a huge impact on the area. Picking up the coveted award on the night, Daniel Hynd, managing director of Promenade Estates, says: “We’re really happy. There have been many, many years [of work] in particular with New Brighton, probably about 12, so we’re made up to be rewarded for all our hard work. Many thanks to all our consultants and the local community for accepting.”

p17-32_Move Commercial 23/11/2015 10:53 Page 26

1. Downing and guests on arrival 2. The Harcourt Developments table 3. Professional dancers added to the â&#x20AC;&#x2DC;Strictlyâ&#x20AC;&#x2122; spectacle 4. Natasha Young (Move Commercial) and Robin Ellis (Robin Ellis Property) 5. The sought-after Your Move Property Awards 6. The Bruntwood table 7. Paul Bibby and Susie Packer (both MSB Solicitors) 8. Well-dressed menus fitted in with the theme 9. The panel of expert judges 10. The Kirwans Solicitors table

p17-32_Move Commercial 23/11/2015 10:53 Page 27

Your Move Property Awards 2015 Event Special

1. Promenade Estates table 2. The Paul Crowley & Co team 3. Dan Pennington (Century 21) chats with Tracy Thompson (Paul Crowley & Co) 4. Bruntwood guests with Tony Reed (Keppie Massie) 5. Colin Forshaw (Bruntwood) with judge Lesley Martin-Wright 6. Ballroom dancers provided ‘Strictly’ themed entertainment 7. Kim O’Brien (Move Publishing), Fiona Barnet (The Foundry Agency) and Catherine McCarthy (Move Commercial) 8. The MSB Solicitors table 9. The Paul Crowley & Co Solicitors team

p17-32_Move Commercial 23/11/2015 10:54 Page 28

DTM Legal are a specialist commercial law firm that understands companies are best served by a long-lasting, proactive and collaborative relationship with a legal partner that is entirely focused on results. Our commercial property team is recognised by the Legal 500 for its commercially grounded and solution-driven approach to managing clientsâ&#x20AC;&#x2122; affairs. We deliver comprehensive advice across all aspects of property law and are able to call upon a strong network of commercial property professionals. Our experience extends to every stage of the property cycle, including: - acquisition - disposition - development & construction - leasing - financing - environmental matters

Contact Anna to discuss your legal property requirements on 01244 354811 or e-mail anna.duffy@dtmlegal.com www.dtmlegal.com

Legal Services: -

Dispute resolution Employment & HR Business Recovery Corporate & Commercial Property

p17-32_Move Commercial 23/11/2015 10:54 Page 29

STYLISH NEW OFFICES TO LET IN LIVERPOOLS’ COMMERCIAL CENTRE

HoneyCombL3

Five floors of high grade offices Lower Ground, First and Third Floors LET

R Ja occ ead nu up y ar at for y ion 20 16

Edmund Street, Liverpool

Space available from 749 sq ft to 2,334 sq ft (69.6 sq m to 216.8 sq m) Added value facilites include • Kitchen / break out areas • Meeting rooms with WiFi • Additional meeting spaces

• Roof top garden • Cycle storage • Showers

L3helix Edmund Street, Liverpool

Four floors of beautifully refurbished offices located in the heart of Liverpools’ Commercial Quarter Space available from 1,374 to 3,403 sq ft (127.6 to 316.1 sq m)

Added value facilites include• Kitchen / break out areas • Meeting rooms with WiFi • Additional meeting spaces

R OO T FL LE ND E A OU IT GR SU

• Roof top garden • Cycle storage • Showers

brianricketts@hwandp.co.uk Andrew.Byrne@cbre.com

www.hitchcockwright.co.uk

p17-32_Move Commercial 23/11/2015 11:48 Page 30

Natasha Young natasha@movepublishing.co.uk

Credit:©Duncan Soar Photography

Playing to strengths

30 MOVE COMMERCIAL

Credit:©DR

MIPIM UK provided a chance for the North West to shine when it recently returned for its second year running. Presented as the largest UK conference and exhibition for property professionals, and a smaller scale version of its Cannes counterpart, the event at London’s Olympia brought industry firms and destinations from across the UK together under one roof to showcase their projects and opportunities. With talks, debates and announcements placing the spotlight on everything from growth and connectivity to the government’s Northern Powerhouse strategy and attracting Asian investment throughout the three-day event, Move Commercial was there to follow all the action.

Representatives from Knowsley and a joint team of delegates from Liverpool and Manchester made their way down to MIPIM UK to promote the North West and highlight the areas’ key selling points at the 21-23 October event. For both delegations it brought about a mix of public sector and private sector efforts to display their full potential. Knowsley, which exhibited on its own stand for the second year running as well as appearing in partnership with Liverpool and Manchester, was represented by its Place Board members including chair Edward Perry, operations director at Knowsley Hall & Safari Park, and Lord Derby; as well as members from Atlantic Gateway, Peel Logistics, db symmetry, St Modwen, Superport Liverpool and Countryside Properties; and delegates from Knowsley Council. Meanwhile Marketing Liverpool and Marketing Manchester arranged the two city regions to attend in partnership in a bid to capitalise on the Northern Powerhouse concept and its current prominence. Local authority representatives from across Greater Manchester and the Liverpool City Region were on hand along with a number of private sector companies including Peel and Bruntwood.

p17-32_Move Commercial 23/11/2015 11:48 Page 31

Event Special MIPIM 2015

Investors in town

“

"We intend to create a North that's economically self-sufficient and helps other parts of the country," Sir Richard Leese, leader of Manchester City Council

“

High profile and prominent projects across the North West were showcased during MIPIM UK as regional exhibitors focused on growth and attracting inward investment. On day one of the event, one particular group of potential investors caused a stir on the exhibition floor – a delegation of influential Chinese property professionals. With investors, developers and construction company representatives among them, they stopped off at the Olympia as part of the Chinese state visit of President Xi Jinping to the UK, just days before they were due to head north to Manchester for the UK China Infrastructure & Regeneration Forum. The group’s appearance at MIPIM UK was a talking point of the day, and the Liverpool and Manchester stand was among those visited by the delegation, providing a chance for dignitaries including Liverpool City Council chief executive, Ged Fitzgerald and Manchester City Council chief executive, Sir Howard Bernstein to discuss North West prospects which would be open to investments. During MIPIM UK, Fitzgerald also took part in a panel discussion on what motivates Asian investors to target UK projects, alongside Stanley Ching, senior

managing director and head of real estate at CITIC Capital; and Richard Garside, head of city investment at BNP Paribas Real Estate. The talk saw Fitzgerald reveal a £1 billion masterplan for a “sub-town” in Liverpool’s ‘knowledge quarter’, close to university campuses and the Royal Liverpool Hospital, which would be “absolutely ripe” for the type of investment Asian investors are offering. The council chief also suggested infrastructure opportunities and a chance to work with the local authority to develop Liverpool’s “ready to go” one million sq ft Stonebridge Cross development which had previously aimed to attract Amazon, as “instantly available” opportunities. Meanwhile away from the North West’s own stands, the government’s Regeneration Investment Organisation (RIO), which is linked to the UK Trade & Investment (UKTI) department and described by Prime Minister David Cameron as a ’one-stop-shop to help international investors identify and fund regeneration opportunities in the UK’, displayed a number of major North West schemes as prime projects for potential investors. Allied London and Manchester City Council’s proposed creation of the mixed-use St John’s neighbourhood on

the city’s former Granada site took centre stage, as it was promoted on the UKTI stand itself. Meanwhile a RIO brochure handed out at the event also highlighted Peel’s £5.5bn Liverpool Waters project, East Manchester’s mixed-use Holt Town regeneration which will incorporate £5m sq ft of commercial space, and Scarborough Group’s £650m mixed-use Middlewood Locks masterplan among top ‘Northern Powerhouse’ opportunities. The Knowsley delegation travelled to MIPIM UK with an aim of highlighting both the area’s residential and business opportunities, as well as raising awareness of key developments in the pipeline. At the stand, the team homed in on Knowsley’s connectivity benefits, as a place that’s easily commutable or in close proximity to the Port of Liverpool and the city itself, as well as Manchester and Lancashire; and close to developments such as Superport, Liverpool2 and Atlantic Gateway. Plus, with its space for companies’ industrial and logistics bases, Knowsley was being marketed as “the advanced manufacturing powerhouse of the Liverpool City Region”. A private dinner hosted by Lord Derby rounded off the first day of MOVE COMMERCIAL 31

p17-32_Move Commercial 23/11/2015 11:48 Page 32

Credit:©Leo Johnson

Natasha Young natasha@movepublishing.co.uk

“

Strength of people, the brand, and being part of the North as well as elements of character that define our places are all incentives, and we’ve got the flexibility to customise deals because there isn’t the competition that there is when doing investment in London. Ged Fitzgerald, chief executive, Liverpool City Council

“

the conference and exhibition, and allowed the delegation to promote ambitions for a ‘Shakespeare North’ theatre development in Prescot, as well as the Knowsley Bio-Inspiration Centre at Knowsley Safari Park.

Northern Powerhouse With devolution deals in Greater Manchester and the newly signed up Liverpool City Region gathering momentum, and the government’s ‘Northern Powerhouse’ strategy continuing to attract attention in the media and in politics, it’s no wonder the concept was a key fixture at this year’s MIPIM UK. 32 MOVE COMMERCIAL

A session entitled ‘The Northern Powerhouse – How can international investment support new development?’ saw Adam Challis, head of residential research, and David Lathwood, lead director for the North West, both from JLL, joined by Duncan Sutherland, executive director of HS2 and Jackie Sadek, chief executive of UK Regeneration for the discussion. Then, council bosses from key ‘Northern Powerhouse’ cities including Manchester’s chief executive, Sir Howard Bernstein; Liverpool’s Ged Fitzgerald; Newcastle City Council chief, Pat Ritchie; and Diana Terris, chief executive of Barnsley Metropolitan Borough Council within the Sheffield City Region, debated the Northern Powerhouse as a ‘new investment opportunity’. Sir Howard Bernstein pointed out that strength in the north would help the UK reach its “full economic potential,” adding: “If London and the South East achieves its full potential by itself we will not reach national full potential.” Fitzgerald continued the discussion, which also focused on the need for northern cities to work collaboratively to attract investors, by calling on businesses to “look out and look up” to support the region’s collective ambition, for which globalisation will be “crucial”. “In terms of incentives we’re trying to move away from land based investments to opportunities across sectors,” he added. “Strength of people, the brand, and

being part of the North as well as elements of character that define our places are all incentives, and we’ve got the flexibility to customise deals because there isn’t the competition that there is when doing investment in London.” Nicola Rigby, director of Bilfinger GVA’s planning, development and regeneration team chaired the debate. “What was really interesting in the discussion was the amount of time we spent talking about the ‘the north’ as a real entity and investment opportunity,” she says. “Clearly the city regions will have to establish their own economic strategy to sit behind this, but the northern narrative is gaining pace and prominence – and rightly so if we want to attract genuine international investment.” The Northern Powerhouse theme continued to grab attention away from London Olympia during MIPIM UK, as key representatives from Manchester, Liverpool, Leeds, Newcastle and Sheffield city regions hosted a special drinks reception at Somerset House. Sir Richard Leese, leader of Manchester City Council, delivered a speech during the packed evening event. "We intend to create a North that's economically self-sufficient and helps other parts of the country," he said.

Growth, movement and connectivity Knowsley’s private sector-led

p33-48_Move Commercial 23/11/2015 11:50 Page 33

delegation teamed up with Superport Liverpool to host a breakfast discussion on online shopping and the logistics boom. The event not only looked at how online retail and its growth is shaping the demands and requirements in the logistics and warehousing sectors, but also highlighted the level of activity and connectivity in Knowsley itself. Carmel Booth, chief executive of Atlantic Gateway, chaired the debate with panellists including Martin Brickell, director of Total Logistics; Andrew Dickman, director of db symmetry; and Dale Milburn, executive director of economic development at Knowsley Council. During the session, Brickell predicted that internet retail – already a rapidly growing sector – will continue to grow at 15% per year over the next five years. “You will see the emergence of alternative core markets, with high growth in heavy products,” he added. The need to create logistics sites, workforces and connecting infrastructure which is able to withstand such growth as well as ‘peaks’ from heightened shopping days such as Black Friday events was a key focus during the discussion. While Dickman said clients need to “buy higher” if they are to have spaces which can accommodate such growth, as mezzanine floors can be added to allow more space and flexibility, and requirements of larger yards for greater staff car parking capacity is prompting demand for larger plots of land which will allow bespoke developments. Milburn suggested local authorities have a big role to play in seeking out

appropriate land plots for the growing

land plots, as well as ensuring surrounding roads and infrastructure are prepared to accommodate such large scale logistical activity. “From a local authority perspective, you can’t look just within your own borders,” said Milburn, adding: “You’ve got to look at the broader area.” Dickman supported the need for strong connectivity around key cities. “It’s about getting infrastructure for this century, and not the Victorian system we’re making use of,” he added.

Credit:©Duncan Soar Photography

Event Special MIPIM 2015

Moving forward So now that the dust has settled on MIPIM UK 2015 and the event is over for another year, what impact has it had for those who made the trip? For Knowsley in particular, the Place Board’s return to MIPIM UK is believed to have provided an unprecedented platform to build relationships and showcase opportunities that it may not have had otherwise. “We put a breakfast seminar on, we had a drinks reception on the stand, and we had a private dinner with Lord Derby about Bio-Inspire, Shakespeare North and all things growth in Knowsley,” says John Flaherty, executive director of place at Knowsley Council, as he reflects on the destination’s second year of attendance. “We would never have done that 12 months ago in Knowsley so getting our brand out there and getting the private sector to talk about opportunities in Knowsley was the ambition and I think we got multiple times that back.” Knowsley Council leader, Councillor Andy Moorhead, has also praised the experience for the area. “The calibre and range of

organisations, places and people in

“

Getting our brand out there and getting the private sector to talk about opportunities in Knowsley was the ambition and I think we got multiple times that back John Flaherty, executive director of place at Knowsley Council

“

attendance was quite remarkable and it was a great opportunity to meet with potential partners to talk about Knowsley and the opportunities here,” he says. From a business perspective, Bericote Properties is one firm which has been progressing a relationship built through MIPIM UK, with a view to hopefully bring development to the region. Keith Wilson, development director at a recently established North West office for the firm, which develops industrial units and has already been involved in projects including ASDA’s site at Omega in Warrington, used the event as inroad into Knowsley and its potential sites. “The M6 has always been a strong location but I think Merseyside itself now is very much coming to the fore because of the likes of Liverpool2 so I’d started to target specific locations where occupational demand would be good based on fundamentals including good transport links, good supply of labour and already established buildings

in certain locations,” explains Wilson. “I guess in my own mind I’d identified Knowsley as a place I’d like to do business in. I’d like to secure some sites and as part of that process I would then go and speak to the council just to introduce myself and to see what their aspirations are and if there’s any alignment but it’s often difficult when you don’t have a specific site to talk about. “I was made aware Knowsley was doing a breakfast event at MIPIM UK and targeting internet logistics so that ticked both boxes for me. I thought that’s a sector I’m interested in and would like to get involved in further, and also it might give me some access to speak to some people of Knowsley so I got in touch off the back of that and offered to sponsor the breakfast event. “Off the back of that I’ve arranged further meetings to go in and talk specifically about sites now that I know they’re keen to move on. Those meetings will be happening over the next week or two.” MOVE COMMERCIAL 33

p33-48_Move Commercial 23/11/2015 15:47 Page 34

C E N T U RY B U I L D I N G Brunswick Business Park LIVERPOOL L3 4BJ

TO LET HIGH QUALITY OFFICES 250 - 11,000 Sq ft TO LET WAREHOUSE / INDUSTRIAL 1,000 - 6,500 Sq ft

jonswain@masonpartners.com

Neil.Kirkham@cbre.com

Providing The Legal Foundations For Commercial Property

Property Development

Lease Grant / Assignment

Commercial Property Purchase

Commercial Property Sale

Business Sale and Acquisition

Contact our Commercial Property experts today on:

0800 525 035 www.kirwans.co.uk

info@kirwans.co.uk @KirwansLaw

Kirwans is authorised and regulated by the Solicitors Regulation Authority (www.sra.org.uk) Prenton SRA Number 71723

34 MOVE COMMERCIAL

p33-48_Move Commercial 23/11/2015 10:55 Page 35

MOVE COMMERCIAL 35

p33-48_Move Commercial 23/11/2015 16:47 Page 36

Lawrence Saunders lawrence@movepublishing.co.uk

It was 21 years ago that the first ‘secure online purchase’ was made – Sting’s fourth album, Ten Summoner’s Tales on CD for £7.74 plus postage. Fast forward to today and Office for National Statistics figures put the average weekly spending online for last year in the UK at an astonishing £718.7 million. Move Commercial explores how this ever growing market is now looking to the high street.

Clicks to bricks Industry experts have long forecast that the increasing move to online retail would slowly kill off the high street as we know it. However, over the past few years we have seen a fascinating paradox appear as high street stores continue to grow their online product whilst more formerly online-only businesses have begun to increase their ‘real world’ presence. In fact, here in the North West, previously online-only luxury furniture retailer Made.com, has recently opened its third UK showroom in Liverpool’s Metquarter. This may be a sign that it is no longer a battle between online and high street and that the two mediums can complement each other well. A high street presence for an online business can help develop its brand awareness with consumers. Similarly, an online shop for a high street brand offers customers an easier and more convenient way to order its products. “Retailers want to reach customers at every touch point whether that’s offline or online, so it’s important for pure plays to have a presence on the high street,” says Annabel Kilner, country manager UK at Made.com. “Having an offline presence helps 36 MOVE COMMERCIAL

customers to have a deeper emotional connection with a brand. As consumers have more and more choice these days, that connection is increasingly important. Customers will buy from brands they like, not only those with great products.” Kilner agrees that the opening of more online-only firms on the high street highlights how there is less of a battle between the two mediums. “There is an opportunity for both pure plays and traditional bricks and mortars. Connecting the two, along with all the other marketing channels, is now the key battle,” she adds. Earlier this month, online giant Amazon opened its first bookstore in Seattle. Prices in-store will be the same as those offered online and it will stock the most popular titles from the website. Back in March, tech-giant Google opened its first physical store in London selling its Android phones, Chromebook laptops, and Chromecast TV service. The store offers consumers the change to interact and learn more about the firm’s products. UK supermarkets have also this year begun stocking products from Graze, a previously online-only food company.

“

Having an offline presence helps customers to have a deeper emotional connection with a brand. As consumers have more and more choice these days, that connection is increasingly important Annabel Kilner, head of Made.com

“

These events are backed up by research conducted by retail expert Harper Dennis Hobbs in 2014, which suggests that online pure play retailers, more than ever before, need a physical store presence in order to maintain market share and sales in an increasingly crowded market. The report profiles a number of previously online-only retailers who have seen increased sales after developing a physical presence. One of these retailers is Oak Furniture Land, which now makes most of its sales through its high street stores. A physical store not only increases sales in its own right but helps to grow the brand and encourages customers to seek them out online. “It’s not quite a reversal of retailing but retailers have seen a benefit from trading online and they have been established high street retailers;” says John Barker, partner at Hitchcock Wright and Partners. “John Lewis is one of the market leaders; a strong department store with a very strong internet business. They find that a lot of their internet customers also shop in store. ”I’m finding that young businesses

p33-48_Move Commercial 23/11/2015 16:47 Page 37

Online retailers on the high street Focus

“

Over 80% of the major transactions in the NW have been internet related, in floor area terms this equates to over 1.5m sq ft in the last 12 months.

“ that start off online trade quite well then they hit a ceiling and with some products people actually want to see it, feel it and they need to trust it. With the bigger retailers, they’ve got a brand and people trust the brand and they are happy to buy something online but where you’ve got ‘flipflopsrus.co.uk’ nobody’s ever heard of them. “If they can get out onto the high street then people can see the quality that is where it’s coming back to the more traditional store offering.” Barker agrees that with more online companies looking to move onto the high street it could be a chance to fill some empty spaces in town centres. “There is a good chance that the internet-based retailer is not necessarily taking advantage of the situation [empty retail spaces] but can open a pop-up shop for very little cost, very little rent, not committing to a long lease, or any lease in some cases,” he adds. “So, it’s a sensible way of filling some of these empty shops in struggling locations with a quality product.” Although Barker is not currently seeing a significant increase in the number of online-only companies

taking up retail space on a long-term basis, he admits there has been a “greater demand for pop-up shops.” “That is something that I think will continue,” he says. “It seems to be sound retailers that are experimenting with a physical store and offering quality products.” It’s clear the advent of online shopping has changed the retail landscape irreversibly but what is also becoming clear is that this move to online retail does not have to necessarily mean the end of the high street. “As far as the major retailer occupiers are concerned, online shopping was never going to replace the high street,” says Richard Padley, director of retail at Bilfinger GVA. “The reality is, online and high street complement each other and retailers that have already recognised the evolution of shopping habits and requirements are at an advantage, providing the entire customer service, be it in a store or online. “The high street plays an important role in retailers’ brand identity and customer service, we are seeing online-only firms strategically

“

The high street plays an important role in retailers’ brand identity and customer service, we are seeing online-only firms strategically establishing a physical presence Richard Padley, director of retail at Bilfinger GVA

“

establishing a physical presence. We’ve recently seen Jacamo open stores and now even Amazon is trialing an actual physical bookstore in Seattle. “Shopping revolves around the entire service offered and is very often linked to ease and convenience. We are seeing the successful retailer using both online and the physical store along with other tools such as social media and quick free delivery options to optimise their service to fulfil the customers’ needs.” Creating a physical presence on the high street allows a previously online-only company to attract more customers, especially the type who tend not to use the internet for their shopping. With this presence on the high street, a company can significantly develop its brand awareness and increase sales both in-store and on the web. Although the overall outlook for the high street still points to a gradual decline in retail space up-take, companies are beginning to become more aware of the benefits of constructing an omni-channel offering and this can only be good news for the future. MOVE COMMERCIAL 37

profile - retail 48.qxp_x 26/11/2015 16:35 Page 1

Natasha Young natasha@movepublishing.co.uk

When it comes to establishing success in the retail sector, carving a niche has been key for Manchester-based specialist agency, Cheetham & Mortimer, the firm’s partner Warwick Smither tells Move Commercial.

All Change Operating from a sole Deansgate office, Cheetham & Mortimer’s 10-strong team of surveyors may be small in scale but as it is retained in the region by high street giants including Marks & Spencer, Next, Boots and mobile phone operator EE, the firm has achieved a reputation among big brands with potential to make a significant impact in town centres. According to partner Warwick Smither, who is part of the Cheetham & Mortimer team for the second time in his career, having worked at the firm from 1989 until 1995 before rejoining in 2000, the decision to focus wholly on retail, be it in-town, out-oftown or development, as opposed to becoming multi-disciplinary, has allowed it to remain strong. “We punch above our weight,” he says. “I look at our client list and if we’re retained by Marks & Spencer, EE, Boots and so on then we must be doing something right. “I think the worst thing we could do is try to suddenly branch out into offices or something, there’s

“

Shopping will not disappear and high streets will not completely collapse so that there won’t be a place for them, but they’ve got to reinvent themselves slightly and be a bit more conducive to attracting people

“

no point. Niche is key and so is keeping the team together.” In his current time at the firm, Smither, who has 30 years of retail agency experience, has seen the industry go from strength to a hard hitting recession, which inevitably tested the high street and Cheetham & Mortimer’s pipeline of work. Reflecting on the 2007/08 downturn, Smither says a number of long-running projects such as big store acquisitions by Tesco in areas around the country, which can take several years to come to fruition and pay off, had prevented the firm from feeling the effects until later. “It was more like 2010, I guess, before we started thinking this is more challenging and the pipeline of work is slimming down and our turnover, as a consequence, is reflecting that; but we’ve knuckled down, we haven’t made anybody redundant, we didn’t shrink the business, we didn’t get rid of any surveyors,” he explains. “You looked at your other costs more carefully but we kept the

team intact, and we’re actually now coming out of the other side. Last year was very good and this year looks fantastic.” According to Smither, recession undoubtedly brought change to the retail sector, although retail is a sector in which change is nothing new. “It’s always changing, always evolving, and that’s what makes it interesting to me,” he says. “Back in the ‘80s the out-of-town retail experience started to evolve. Then mega centres opened like Trafford and, prior to that, Meadowhall, and that changed the dynamic again. “The town centres had to react and see how they could improve their offer and make themselves more attractive. That process is still ongoing and many towns and cities are still trying to address that.” Leisure has been integral to this, and as a result has become a more prominent factor in the work of Cheetham & Mortimer which, although always looking for new opportunities, is generally “reactive” in a sector which Smither

profile - retail 48.qxp_x 26/11/2015 16:35 Page 2

Warwick Smither, partner, Cheetham & Mortimer Interview

“

I think most people, and I’m included, think that we can safely say the next two years look pretty rosy and encouraging

“ says can be difficult to be “pro-active” in. “Leisure, now, is such an important part of the retail offer so interweaving leisure into new shopping centres rather than just having a dedicated cinema with four restaurants alongside it is part of the way forward. Shopping is a leisure experience, it’s a pastime.” Another major factor which has inevitably and continually brought a need for the market to adapt is the growth of internet retail and multi-platform retail. It’s a matter which Smither says there is no stock answer that will help all retailers as it depends on what’s right for their brand. “What impact does that have on their estate?” he asks. “Do they need as many units? Do the units need to be bigger or smaller? Do they need any presence on the high street at all?” With Genr8 Developments’ rejuvenation of Rochdale town centre among the biggest projects Cheetham & Mortimer is currently working on, having recently secured Marks & Spencer and

Next as anchor tenants, Smither highlights clothing and homeware chain Next as an example of how such developments within the industry are also influencing more specific requirements for new stores. “Next continues to acquire and modify its estate and look for new outlets but it’s got to have an eye on ‘click and collect’,” the agent explains. “Even in town centres where the retailer opens new stores, such as Rochdale which we’ve just done, it wanted a unit adjacent to a car park so it could have the ability for customers to pull up, dash in and collect goods they have ordered on the internet.” The Rochdale scheme is an example of the prime retail projects being brought forward across the North West at present, with the likes of Warrington, Stockport and Oldham all progressing mixed-use town centre regeneration schemes. “Some of it is retail demand driven, and some of it is by local authorities recognising they have to get involved in making sure

development occurs that protects the town centre, enhances it and takes it forward,” adds Smither. “It’s about making sure your town centre doesn’t look more desolate.” Smither believes the high street will always be a place for shoppers, as long as it can keep adapting to change. “The general consensus is that it’s finite how much shopping people will do on the internet,” he says. “BooHoo, ASOS and others have clearly impacted on traditional high street retailers but generally there’s a perception that we are a nation of shoppers, we enjoy shopping and it’s a form of entertainment so we will continue to shop. “Shopping will not disappear and high streets will not completely collapse so that there won’t be a place for them, but they’ve got to reinvent themselves slightly and be a bit more conducive to attracting people and that’s why that leisure factor plays an important part.” Looking to the future, Cheetham & Mortimer continues to focus on significant North West projects,

including Capital & Centric’s Kampus scheme in Manchester – a leisure scheme aiming to be “heavily influenced by independents and niche operators” like the city’s Northern Quarter or London’s Spitalfields. As for the wider retail sector, what lies ahead can be difficult to predict in the long term. “I think most people, and I’m included, think that we can safely say the next two years look pretty rosy and encouraging, and there will be quite a lot of activity on the high street. “Beyond that it’s more difficult to predict with any certainty, and I think we’re influenced then by much greater events; the global economy, the European economy, debt and how our government deals with that, and what impact that then has on the man in the street, and I think it is difficult to predict beyond two years where we go next. “I feel there will be a slow down, not a downturn, probably in two to three years and we’ll have to take stock again.”

p33-48_Move Commercial 23/11/2015 10:58 Page 40

Buying a property through a SIPP or SSAS to release capital

KNOWSLEY - L33 7SG Charleywood Estate, Charleywood Road, Knowsley Industrial Park TO LET - Substantial Warehouse / Workshop & Yard

John Morshead, Partner and head of the Commercial Property team at Lees Solicitors, explains how a SIPP (Self Invested Personal Pension) and SSAS (Small Self Administered Scheme) can release capital for your business: A SIPP or a SSAS can be an ideal way to release capital for a business. If, as trustees of the pension fund, you decide to buy a commercial property owned by the business, instead of holding cash in the fund, business owners can inject thousands of pounds of working capital into a business. Even if there is not enough in the pension fund to buy the entire property, the SIPP or SSAS is allowed to borrow (subject to limitations) to assist with the purchase. Other than a release of capital, there may be a number of other advantages in buying through a pension fund, including tax relief on contributions, ability to lease to a connected party (ie, you can grant a lease back to the business), rental income is paid to the pension fund thereby increasing the fund, and there can be Capital Gains Tax and Inheritance Tax benefits.

HIGHLY COMPETITIVE TERMS FROM £1.90 PSF INCLUDING ALL INTERNAL & EXTERNAL MAINTENANCE

• 41,019 SQ FT (3,810 SQ M) • Unobstructed Working Area • 7.7 Mtrs Eaves • Gantry Craneage and Substantial Power (375 KvA)

It is important to note that the purchase price and rental must be at market value and you do have to consider the future and most appropriate time for the property to be sold by the pension fund. If you need advice in relation to the purchase of a property through a pension scheme or any Commercial Property issue, call Lees Solicitors on 0800 387 927 or visit our website www.lees.co.uk to arrange a meeting at one of our local offices, where you can discuss your matter face-to-face with a member of our team.

· Commercial carpets

· All work fully guaranteed

· Carpet tiles

· Safety flooring

· Built in entrance matting

· Fully insured

· Bespoke designs for hotels

· Stair nosings

Contact Graeme 0151 480 1212 40 MOVE COMMERCIAL

www.carpetdesignandflooring.co.uk

p33-48_Move Commercial 23/11/2015 10:58 Page 41

Falconer Chester Hall is an award winning architectural and interiors practice with an international reputation. Since our inception twenty years ago, we have built an outstanding reputation across a wide range of sectors, with experience in residential, hotel and commercial markets, and the schemes illustrated highlight our growing reputation in the Private Rented Sector. In fact, we are currently on site with over 2000 residential units.

Liverpool T. +44 (0)151 243 5800

London T. +44 (0)203 137 7393

Kuala Lumpur T. +(0)603 2698 1181

Our committed teams are based in Liverpool and London, servicing schemes across the UK, as well as a recently opened overseas ofďŹ ce in Kuala Lumpur, working with our international clients.

www.fcharchitects.com

p33-48_Move Commercial 23/11/2015 19:39 Page 42

Nick Hughes nick@movepublishing.co.uk

As the rapid growth of the online retail sector – known as e-tail continues, the North West is witnessing a rise in demand for storage and distribution space. Move Commercial explores why the region is so well positioned to take advantage of the boom.

“ “

42 MOVE COMMERCIAL

Omega Warrington is a prime example of a North West site which is attracting major e-tail activity, with the Hut Group among the latest signings as it gets set to take possession of 660,000 sq ft of storage space entirely for internet-based sales and distribution. Hermes Parcelnet, already based at the Warrington site, is also set to double its parcel throughput there via the purchasing of additional land. Meanwhile online shopping giant Amazon, which currently occupies

180,000 sq ft of storage space in the North West, has also requested a further 200,000 sq ft in the Greater Manchester area, with rumours the firm is targeting the Mountparks unit at Airport City. With major projects underway in the region including Liverpool 2 and Peel’s in-land port in Salford, the North West’s ability to attract such firms is only expected to continue, as the infrastructure will be in place for the area to more comprehensively accommodate imported products’ first mile – when it arrives at a port – to its last mile, when it is finally delivered from a distribution centre. “A number of secondary sheds are being built in Merseyside which can benefit from Liverpool 2, which will open later this year,” says Andrew Pexton, director of the national industrial and distribution team at Bilfinger GVA. Damian Harrington, author of Colliers’ recent industry study, entitled ‘From First to the Last Mile Global Industrial & Logistics Trends’, also believes the completion of the facility will impact the market. “When you look globally at the number of ports that are now building deep water facilities and the berthing capacity and the handling capacity and efficiency, that’s all playing into

shippers’ minds in terms of where and what they use,” says Harrington. “It’s essentially creating more alternatives for goods to get into a market, and when you have such a large and densely-packed conurbation, such as the North West, for a lot of operators they’re going to think ‘we’re just as well looking at going into here rather than through the South East’. “The preference will always go down to which port gives the best access for the shortest travel time

p33-48_Move Commercial 23/11/2015 19:39 Page 43

Logistics Focus

“

It is not, however, just a case of looking at existing sheds. Given the rise in customer spend in online retailing, space in the right locations will undoubtedly outstrip supply, which will lead to the need for more land

at the lowest cost but they need to have a range of options, so if one facility becomes congested or doesn’t start working, they can immediately switch to another one. It’s down to convenience and options. “It will affect both [the first and last mile]; the whole thing is becoming equally interconnected. The whole port infrastructure is particularly about first mile but if you don’t have the facilities around the ports to actually help with the distribution and storage then it doesn’t really matter what capacity you build.” With the £1 billion, 233-hectare mixed-use development of Omega continuing over the next 25 years, Billfinger GVA suggests sheds and warehouse markets are set to expand exponentially. Click & Collect, a UK retail innovation, has become increasingly popular with over a third of people now using the scheme when they shop. The figures are expected to double over the coming years and will contribute to the further growth in demand for larger plots of land. “It’s all going to be part and parcel of how the logistics and warehousing markets develop. The relationship between warehousing and retail is a symbiotic relationship and it’s just going to get closer, almost seamless, which is essentially what omni-

channel is all about. “It’s about having one senior service just offering clients different ways of purchasing and getting goods so the two are just going to get closer and closer as markets continue to evolve and generations continue to change,” says Harrington. Pexton acknowledges that the majority of deals occurring in the region are omni-channel. “Most transactions in the North West have been retail or omni-channel for the big box market with timing for operators resulting in several design and builds, but due to the increase in transactions, the current phase of speculative build units will offer a range of building sizes from a capacity of 100,000 sq ft up to just under 400,000 sq ft,” he explains. Click & Collect, as well as first-day delivery, will be a major driving force for developers in the future of last mile logistics and warehousing in regional and mega distribution centres. “You can’t get rid of the retail bricks and mortar because that’s your essential part of the operation but there must inevitably be some rebalancing between logistic rents and retail rents, particularly in urban areas because there are more urban warehousing facilities in need,” says Harrington.

“

“Where you get higher rents, you’re going to bring more developers into the game because it’s going to be more profitable or realistic for them to build or convert these new facilities around. The demand itself is huge; the growth in demand and consumption will lead a net increase in the need for new warehousing.” According to Mark Saunders, director at NJL Consulting, online retail is currently worth £53bn and is set to rise to £62bn by 2020. “Those shed owners in highly accessible locations, close to urban populations are in strong position,” he highlights. “Those tenants in place obviously have to be mindful that their existing space could be more in demand and thus prompt rent rises. “It is not, however, just a case of looking at existing sheds. Given the rise in customer spend in online retailing, space in the right locations will undoubtedly outstrip supply, which will lead to the need for more land.” With the cost of land in the South continuing to rise, the North West looks set to benefit and become a key logistical target over the coming years. Harrington believes there is no reason the region cannot become a prime location for first

and last mile distribution if the transport infrastructure is in place for the transfer of goods. “Obviously land in the South East is more expensive, so if the transport infrastructure is built to allow for a quick transfer of goods from the North to the South and onto other markets and it’s more cost effective to develop in the North then, naturally, you can build more remotely as long as you’re on the transport network. “If there’s capacity to develop up in the North West, then there’s no reason why it won’t happen.”

p33-48_Move Commercial 23/11/2015 13:50 Page 44

p33-48_Move Commercial 23/11/2015 17:41 Page 45

Move Commercial Events Nov-Feb

EVENT PLANNER

Our pick of the best local events

26 NOV

1 DEC

11 DEC

21 JAN

RICS Regional Assembly North West, Double Tree Hilton, Manchester Piccadilly 9am – 4.30pm

8 Business Networking, Grosvenor Casino Didsbury, Manchester 5.30 – 7:30pm

RICS presents a day of networking and information sharing at its yearly event which brings together more than 100 members for a day of informative topics covering key areas of the organisation. www.rics.org

A fantastic opportunity to get together with like-minded local businesses figures in South Manchester. A low-key event, 8 Business Networking is a good way to make new introductions and strengthen existing industry relationships.

South Cheshire Chamber of Commerce ‘Christmas Networking Lunch’, Rookery Hall Hotel & Spa, Cheshire 12 – 2pm

Sir Howard Bernstein annual address, Radisson Blu Edwardian Hotel Free Trade Hall, Manchester 7.30 – 9.30am

Get into the festive spirit, make some new contacts and get to know the chamber team while enjoying a buffet lunch. south.cheshire.chamber@gmail.com

FBE Manchester presents Sir Howard Bernstein who kicks off the new year with a vital overview of the city’s plans for 2016. stewart@grantassociatespdc.co.uk

8 DEC

22 JAN

9 FEB

Women in Property Christmas Cocktails, Artisan, Avenue North, Manchester 6pm

Professional Liverpool Annual Carol Service, Liverpool Parish Church 5.30pm

RICS Annual QS and Construction Dinner, The Point, Lancashire County Cricket Club 7 – 11.30pm

"FORE" Business Golf Networking Event, Worsley Park Marriott Hotel & Country Club, Manchester 7.20am

Experience some festive cocktails and tasty nibbles while enjoying a spot of informal networking. WIP members and guests, male and female alike, are welcome at this laid back event. JMcCowie@hallidaymeecham.com

Professional Liverpool, in association with Sefton and Liverpool Chamber of Commerce, invites guests to a traditional carol service to signal the beginning of the festive period. alexclark@professionalliverpool.com

More than 850 property professionals will celebrate 2015’s achievements and look forward to the year ahead. Comedian Ron Woodward, provides the evening’s entertainment. www.rics.org

Golf and business deals go hand in hand at “FORE” Business’ latest networking event. www.fore-business.com

IFB 2016 event expected to prompt 7,000 business meetings A meet-the-buyer programme at next year’s International Festival for Business (IFB) is aiming to prompt 7,000 face-to-face meetings between companies and potential clients. Organisers revealed the scale of possible business opportunities being lined up for the event, as more than 150 business leaders gathered for an announcement at Liverpool city centre’s Radisson Hotel. Plans for a major festival fringe called The Edge, as well as a ‘Blue Skies’ programme of inspirational global business speakers were also unveiled ahead of the second IFB, which will return to Liverpool from 13 June to 1 July. The festival, which will feature themes including manufacturing, creative and digital, and energy and environment, is supported by the government along with main partner

PICK OF THE MONTH

3 DEC

Liverpool Chamber of Commerce Annual Dinner, Liverpool Cathedral 6.30pm The region’s most enterprising businesses will be recogonised at this lavish dinner interspersed with inspiring speakers. An official after show party will take place at the Malmaison hotel from 12am for those who want to continue the celebrations. www.liverpoolchamber.org.uk

Ian McCarthy

Leading names lined up for ArchitEx The architectural appearance of the ‘Northern Powerhouse’ strategy will be among the key topics of discussion when a two-day conference and exhibition takes place in Liverpool.

HSBC, global media partner Bloomberg and supporters DLA Piper, Dong Energy, Heathrow, PwC, Siemens and Virgin Trains. Ian McCarthy, festival director, says: “The festival in 2016 will offer very concrete opportunities for companies to win new business from potential clients and customers from right across the UK and world. “The meet-the-buyer programme alone will see some 7,000 face-to-face meetings organised by our team on behalf of businesses looking to buy and sell goods and services.” Kate Willard, Liverpool City Region Local Enterprise Partnership (LEP) board member, adds: “The Edge will be a complementary programme to the core festival schedule and will offer inventive, creative and dynamic opportunities for businesses to engage with one another and to learn, to teach and to share ideas.”

With the government’s concept gathering pace in the region, Mick Goode, chair of RIBA North West, will be on hand at the 1-2 December ArchitEx event to discuss the matter of how it will be designed. Move Commercial is a media partner of the industry showcase at St George’s Hall, which will also see leading names including Tom Bloxham, chairman and co-founder of Urban Splash; Adam Hall, managing director of Falconer Chester Hall; and Gavin Elliot, director of architecture and head of the Manchester studio of BDP among the list of speakers. Meanwhile Paul Monaghan, director of the Allford Hall Monaghan Morris practice behind 2015’s RIBA Stirling Prize winner, Burntwood School; and Deborah Aydon, executive director of Liverpool’s Everyman Theatre, which won last year’s RIBA Stirling Prize, will be in attendance. For more information visit www.architex2015.co.uk.

Tell Move Commercial about your commercial property and business events. Email post@movepublishing.co.uk MOVE COMMERCIAL 45

p33-48_Move Commercial 23/11/2015 11:00 Page 46

Corporate and Commercial Legal Services Our Commercial Property Lawyers are able to advise on a wide variety of property issues, including: Ĺ&#x2014; "DRVJTJUJPOT BOE EJTQPTBMT Ĺ&#x2014; %FWFMPQNFOU USBOTBDUJPOT Ĺ&#x2014; Leases Ĺ&#x2014; -BOEMPSE BOE UFOBOU NBUUFST Ĺ&#x2014; 3FOU SFWJFXT Ĺ&#x2014; Dilapidations Ĺ&#x2014; -JDFOTFT UP BTTJHO TVC MFU BOE BMUFS Ĺ&#x2014; 1MBOOJOH -BX

Liverpool Office One Derby Square Liverpool L2 9XX T: T: F: W:

0151 230 2450 0845 257 9449 +44 (0) 207 406 7403 www.excellolaw.co.uk @ExcelloLaw linkedin.com/company/excello-law

Offices in London, Liverpool and Leeds

p33-48_Move Commercial 23/11/2015 11:00 Page 47

Expert views Ask the panel Online giants like Amazon are renowned for their impact on the high street as they allow consumers the ability to buy products at the touch of a button with often competitive prices. Now, it seems, such internet-only outlets are looking to offer an in-store experience too. In November, Amazon opened a Seattle bookstore which followed the arrival of Google’s digital products store in London. With this in mind, we ask small business representatives:

Q: With many independent retailers having established themselves and also developed websites, what do you think of the concept of online giants going full circle with a high street presence? Established ‘bricks and click’s retailers will have little to fear from pure-play online retailers opening real world shops. It brings these players into the areas of strength of the existing businesses and they thrive on head-to-head competition. It’s a confirmation of the value of shops in the omni-channel supply chain. Unless there are mass-openings of outlets by the at-the-moment pure online sellers, it will add little to the competitive landscape as there are already thousands of local collection points. It might be a different picture if a business like Amazon bought a retailer such as Argos, with its 700 or so stockcontrolled local depots and a responsive distribution network because that would plug it wholeheartedly into the consumerfacing supply chain, but that’s not apparently on the cards right now. The worry existing shops might have is that Amazon openings could drive up rental values – but then they could also help drive up footfall. Michael Weedon, deputy CEO and communications director, British Independent Retailers Association

It was only a matter of time before the online behemoths went full circle and opened real stores, especially as most bricks and mortar retailers have good transactional websites now. That said, they would not have been able to build their businesses in the UK had they paid the level of taxes UK registered businesses do. I just hope the EU closes the loopholes that enable them to persistently do this – and soon. It costs us £400,000 every year just to open our doors in Liverpool alone. With that sort of overhead they won’t be able to discount to the level they do and therefore make the playing field fairer for everyone. Richard Skelton, director, Utility

We don’t think this comes as any surprise - real stores have something that online can never compete with and that’s the experience. The convenience of an online shop is something that is hard to beat but life is about more than clicking away at your laptop. Shopping is a social experience, being able to get together with friends and find those hidden gems on the high street; being able to see, touch and feel what you are interested in before purchasing and taking away there and then. Online retailers hitting the high street can only be a good thing though in our view. The supermarkets have had their day category killing and dragging customers to soulless boxes out of town, so it may just be a case of things going full circle. If the major online retailers make the move to the high street we should all benefit in a boost to our town and city centres. I wouldn’t want to be in the shoes of

the retailers they are targeting but, then again, is there any guarantee the likes of Amazon and Google will be any good at real shops? Matt Bell, director, Revolver Retail

We have already seen small shops hit by the often ubiquitous presence of the big supermarkets so it is a concern that other retail giants are planning to move from the online marketplace to the high street. We do need to breathe life into our high streets but it is smaller retailers who ensure that money spent with them stays in their local communities, not these large multinationals. The impact of failing to ensure our small shops can operate on a level playing field could be devastating. We could lose them. Of course, we are not being anti big business – a supermarket of the right size and location on a high street can actually increase footfall to small shops nearby. What is important is that councils considering planning bids from these companies take into account the impact of their decisions on the independent traders who make our villages, towns and cities what they are. Phil McCabe, development manager for Merseyside, West Cheshire and Wigan, Federation of Small Businesses

p33-48_Move Commercial 23/11/2015 11:00 Page 48